(A) The grantee shall not assign, or transfer control of, the franchise without the prior consent of the Council, which consent will not be unreasonably denied. The Council shall render its decision within 45 days from the date on which consent is requested. Any attempt to assign the franchise without the consent of the Council shall be null and void. No such consent shall be required for an assignment: to any affiliate of the grantee which is owned or controlled by the grantee or any person controlling, controlled by or under common control with the grantee, in each case as of the effective date of the grantee’s franchise; or in trust, mortgage or other hypothecation, in whole or in part, to secure an indebtedness.
(B) The transferee shall be required to establish that it possesses the legal, financial and technical qualifications to operate and maintain the cable system and comply with all franchise requirements for the remainder of the term of the franchise. If the transferee demonstrates that it possesses such qualifications, the city shall transfer and assign the rights and obligations of such franchise as in the public interest. The consent of the city to such transfer shall not be unreasonably denied or delayed.
(C) Any financial institution having a pledge of the franchisee or its assets for the advancement of money for the construction and/or operation of the franchise shall have the right to notify the city that it or its designee satisfactory to the city shall take control of and operate the cable system, in the event of a grantee default in its financial obligations. Further, said financial institution shall also submit a plan for such operation within 30 days of assuming such control that will insure continued service and compliance with all franchise requirements during the term the financial institution exercises control over the system. The financial institution shall not exercise control over the system for a period exceeding one year unless extended by the city in its discretion and during said period of time it shall have the right to petition the city to transfer the franchise to another grantee.
(Ord. 94-0-6, passed 9-12-94)